Business Description

Darden Restaurants Inc
NAICS : 722511
SIC : 5812
ISIN : US2371941053
Share Class Description:
DRI: Ordinary SharesCompare
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Traded in other countries / regions
DRI.USA0I77.UKD1RI34.BrazilDDN.Germany1DRI.Italy Index Membership
S&P 500Russell 1000Russell 3000 IPO Date
1995-05-15Description
Darden Restaurants is the largest restaurant operator in the US full-service space, with consolidated revenue of $12.1 billion in fiscal 2025. The company maintains a portfolio of 11 restaurant brands: Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Ruth's Chris, Yard House, The Capital Grille, Seasons 52, Eddie V's, Bahama Breeze, The Capital Burger, and most recently, Chuy's. Darden generates revenue almost exclusively from company-owned restaurants, though a small network of franchised restaurants and consumer-packaged goods sales through the traditional grocery channel contribute modestly. As of the end of its fiscal 2025, the company operated 2,159 restaurants in the US.
Financial Strength
5/10
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
Cash-To-Debt | 0.04 | |||||
Equity-to-Asset | 0.18 | |||||
Debt-to-Equity | 2.57 | |||||
Debt-to-EBITDA | 3.07 | |||||
Interest Coverage | 8.11 | |||||
Piotroski F-Score | 6/9 | |||||
Altman Z-Score | 2.69 | |||||
Beneish M-Score | -2.54 | |||||
WACC vs ROIC |
Growth Rank
8/10
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
3-Year Revenue Growth Rate | 11 | |||||
3-Year EBITDA Growth Rate | 11.5 | |||||
3-Year EPS without NRI Growth Rate | 8.9 | |||||
3-Year FCF Growth Rate | 9.6 | |||||
3-Year Book Growth Rate | 3.7 | |||||
Future 3-5Y EPS without NRI Growth Rate Estimate | 9.19 | |||||
Future 3-5Y Total Revenue Growth Rate Estimate | 5.53 |
Momentum Rank
9/10
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
5-Day RSI | 54.99 | |||||
9-Day RSI | 54.35 | |||||
14-Day RSI | 56.16 | |||||
3-1 Month Momentum % | 2.23 | |||||
6-1 Month Momentum % | 14.74 | |||||
12-1 Month Momentum % | 44.41 |
Liquidity Ratio
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
Current Ratio | 0.42 | |||||
Quick Ratio | 0.28 | |||||
Cash Ratio | 0.11 | |||||
Days Inventory | 11.91 | |||||
Days Sales Outstanding | 2.07 | |||||
Days Payable | 15.96 |
Dividend & Buy Back
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
Dividend Yield % | 2.56 | |||||
Dividend Payout Ratio | 0.59 | |||||
3-Year Dividend Growth Rate | 8.4 | |||||
Forward Dividend Yield % | 2.77 | |||||
5-Year Yield-on-Cost % | 7.47 | |||||
3-Year Average Share Buyback Ratio | 1.9 | |||||
Shareholder Yield % | 2.03 |
Profitability Rank
8/10
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
Gross Margin % | 21.75 | |||||
Operating Margin % | 11.76 | |||||
Net Margin % | 8.69 | |||||
EBITDA Margin % | 16.03 | |||||
FCF Margin % | 8.56 | |||||
ROE % | 47.83 | |||||
ROA % | 8.7 | |||||
ROIC % | 9.84 | |||||
3-Year ROIIC % | 8.35 | |||||
ROC (Joel Greenblatt) % | 17.71 | |||||
ROCE % | 14.52 | |||||
Years of Profitability over Past 10-Year | 9 | |||||
Moat score | 6 | |||||
Tariff score | 7 |
GF Value Rank
6/10
Name | Current | Vs Industry | Vs History | |||
---|---|---|---|---|---|---|
PE Ratio | 24.7 | |||||
Forward PE Ratio | 20.53 | |||||
PE Ratio without NRI | 22.94 | |||||
Shiller PE Ratio | 35.26 | |||||
Price-to-Owner-Earnings | 22.54 | |||||
PEG Ratio | 0.54 | |||||
PS Ratio | 2.12 | |||||
PB Ratio | 11.11 | |||||
Price-to-Free-Cash-Flow | 25.06 | |||||
Price-to-Operating-Cash-Flow | 15.29 | |||||
EV-to-EBIT | 22.11 | |||||
EV-to-Forward-EBIT | 19.39 | |||||
EV-to-EBITDA | 16.22 | |||||
EV-to-Forward-EBITDA | 14.46 | |||||
EV-to-Revenue | 2.6 | |||||
EV-to-Forward-Revenue | 2.41 | |||||
EV-to-FCF | 30.36 | |||||
Price-to-GF-Value | 1.17 | |||||
Price-to-Projected-FCF | 2.18 | |||||
Price-to-Median-PS-Value | 1.28 | |||||
Earnings Yield (Greenblatt) % | 4.52 | |||||
FCF Yield % | 4.03 | |||||
Forward Rate of Return (Yacktman) % | -19.45 |